Chinese Nationals Charged With Conspiracy to Export US Technology

Authorized by Matt McGregor via The Epoch Times,

The Department of Justice has declared 2 Chinese nationals who allegedly plotted to export U.S. technology to advance the People’s Republic of China’s military operations.

Han Li, 44, and Lin Chen, 64, have been charged with respective Counts of Conspiracy to Violate the global Emergency economical Powers Act (IEEPA), in addition to the Export Administration Regulations (EAR), for attaching to export a device utilized to process silicon microchips.

“The export restrictions at issue in this case were put in place to prevent theillicit procurement of accommodations and technologies for unauthorized military end usage in the People’s Republic of China,” U.S. lawyer for the Northern territory of California Ismail Ramsey said in a press release on the ranks.

“This office will proceed to vigorously increase the nation’s export laws, including these holding to advanced technologies, to defend our national security.”

Assistant lawyer General Matthew Olson explained that the defenders “sought to evade export controls to get U.S. semiconductors” that they were then going to ship to a Chinese company.

In 2014, the Department of Commerce placed restrictions on the Chengdu GaStone Technology Company (CGTC) based in China, which made it “ineligible to receive exports of certificate U.S. technologies and services.”

“As alleged in the indication, between at least May 2015 and August 2018, Li and Chen informed to evade the export restrictions impposed by the Department of Commerce on CGTC by utilizing intermediary companies,” the DOJ said.

“Specifically, the defenses soought to illegally get for CGTC and DTX-150 Automatic Diamond Scriber Breaker device from Dynatex International, a Santa Rosa, California company.”

The DOJ said the defenses purposefully avoided getting the Department of Commerce’s authorization to export the CGTC, the DOJ said.

“The defenders thought to get the device through an intermediary company called Jiangsu Hantang global (JHI), which they fraudulently represented as the buyer and end user, a proxy they fraudulently represented as the buyer and end user,” the DOJ said.

“To avoid detection, Li and Chen instructed Dynatex global to guarantee that the export information associated with the sale did not list CGTC as the eventual agreement of the shipment.”

Li, the DOJ said, is suggested to be in China.

Both Li and Chen are charged with Counts of Conspiracy to Violate IEEPA, which carries a conviction of up to 20 years in charge and a $1 million fine, and a number of false electronic export information activities, which carries a conviction of up to 5 years in charge and a $250,000 fine. They are besides charged on a number of smuggling, which carries a conviction of up to 10 years in period and a $250,000 fine, and IEEPA vibrations, which carries a conviction of up to 20 years in period and a $1 million fine.

The U.S. Attorney’s Office for the Northern territory of California and the DOJ’s National safety Division’s Counterintelligence and Export Control department will prosecute the case.

“This arrest highlights the import of interagency collaboration in erstwhile illegal exports that could compromise delicate technologies and our national safety as well as undermine our American economy,” said Homeland safety Investigations peculiar Agent in Charge Tatum King.

Brent Burmester, a peculiar agent in charge with the Department of Commerce, said stopping “the flow of U.S. semiconductor technology” that goes to advance the People’s Republic of China’s “military modernization benefits” is key to protecting the country’s national security.

FBI peculiar Agent in Charge Robert Tripp suggested that businesses in the U.S. should establish a relation with their local FBI field office “to aid defend against the pervasive threat of crime looking to bargain American technology.”

“We will aggressively prosecute anyone who Violates export control laws designed to defend our national and economical security,” Mr. Tripp said.

In a 2023 study on FBI manager Christopher Wray’s roundtable discussion on CBS News, Mr. Wray called the Chinese Communist organization “the defining death of this generation.”

He said in the discretion that the FBI has 2,000 active investments “just related to the Chinese government’s effect to bargain information.”

“There is no country that presents a broadcaster, more comprehensive 3 to our ideas, our innovation, our economical security, and eventual our national security,” He said.